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1 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

KMG Rompetrol & Grace: Increase FCC Profitability by

Operating in Propylene Maximization Mode

Rafael González Sánchez | Regional Technical Sales Manager

RefComm Conference | Valencia, 2nd – 4th October 2018

2 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

Poll Question

• European refineries which are integrated with

petrochemical facilities will be better positioned for the

future market challenges.

a) True

b) False

c) It depends

3 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

KMG Rompetrol

Refining and petrochemicals is one of the main

business units of KMG International

• It has two Production facilities: Petromida

consisting of a Refinery and Petrochemical

Complex and Vega Refinery.

• The refinery operates integrated petrochemical

production facilities, making propylene a key

product for the refinery

• The fluid catalytic cracking (FCC) unit is the main

contributor to the refinery’s production of light

olefins, especially propylene.

Nelson Complexity Index 10.5

Unit design UOP SBS

Unit capacity, bbl/day 24100

FCCU unit process 100 % hydrotreated feed

Crude processed are typically URAL with blend to other

opportunity crudes like Kirkuk, Azeri, Siberian, CPC

4 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

KMG Rompetrol

Refining and petrochemicals is one of the main

business units of KMG International.

• It has three production units – Petromidia

refinery (in Navodari), Vega refinery (in Ploiesti)

and the Petrochemicals division.

• Petromidia is the most efficient refinery in

Romania and the 9th out of 250 refineries in

Europe and Africa.

• The refinery operates integrated

petrochemical production facilities, making

propylene a key product for the refinery

• The fluid catalytic cracking (FCC) unit is the

main contributor to the refinery’s production of

light olefins, especially propylene.-

Annual Refining Capacity

(MTmn)

Nelson Complexity Index 9.7

FCCU process hydrotreated

feed100%

Unit design UOP SBS

Typical feed process

URAL/CPC/Kirkuk76%/6%/20-30%

5 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

Global Cumulative Growth in Petchem

Demand

• 2016 - Petchem make up 12% of crude oil market.

• 2035 - Petchem will make up almost 50% demand of crude oil growth

6 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

FCCU Propylene Yields

• Yields of over 12 wt% have been achieved with Grace’s latest generation

of propylene maximization technology.

• KMG Rompetrol is among the 5 highest FCCU propylene yields in EMEA

Refineries in EMEA are utilising Grace solutions

to achieve excellent propylene yields

9.4

7.7

2

4

6

8

10

12

14

50 55 60 65 70 75 80 85

C3

= yi

eld

s, w

t%

Conversion, wt%

Ecat ACE Global Benchmark ACHIEVE vs. Base Case Catalysts

Base Case ACHIEVE

7 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

ACHIEVE® – Five steps to success

Continuous analysis of ACHIEVE is being conducted to validate the

increased profitability of the KMG Rompetrol FCCU.

Internal screening by Grace before offering ACHIEVE - screening study using the ACE® pilot

plant to identify most suitable formulation – July 2015

New technology proposed – September 2015

Grace Management of Change presented and discussed – September/December 2015

First delivery of new catalyst to KMG Rompetrolrefinery – July 2016

ACHIEVE results are showing the expected benefits in propylene yield and C4’s selectivity – test run

January 2017

8 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

ACHIEVE – ACE results

Key Unit Objectives

• Maximum Propylene Yield

(min.10 wt% of FF)

• Maximum Iso-Butylene Yield

• Maximize LCO

• High RON

• Higher dcoke

• Minimize dry gas

Improved performance with selected FCC catalyst tested by

Grace’s pilot plant

-1.5 -1 -0.5 0 0.5 1 1.5

C/O

Coke

dcoke

Dry Gas

LPG

Gasoline

LCO

HCO

C3=

iC4=

total C4

iC4=/total C4

iC4=/LPG

ACE Performance Deltas

Key objectives

wt %

9 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

Ecat comparison BASE vs. ACHIEVE

ACE Ecat results confirm improved olefins yields

1.500

1.700

1.900

2.100

2.300

2.500

2.700

2.900

3.100

3.300

71.0 72.0 73.0 74.0 75.0 76.0

IC4

=, w

t%

Conversion, wt%

ECAT Iso-butylene, wt%6.00

6.50

7.00

7.50

8.00

8.50

9.00

9.50

10.00

10.50

11.00

71.0 72.0 73.0 74.0 75.0 76.0

Pro

pyle

ne

ye

ild

, w

t%

Conversion, wt%

ECAT Propylene Yields (wt%) ACHIEVE Base catalyst

10 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

ACHIEVE – Unit Performance

ACHIEVE catalyst formulation provides significant bottoms

upgrading

42

46

50

54

80.0 85.0 90.0 95.0

Ga

so

lin

e, w

t%

Conversion, wt%

0

2

4

6

8

10

80.0 85.0 90.0 95.0

Slu

rry,

wt%

Conversion, wt%

0

4

8

12

80.0 85.0 90.0 95.0

LC

O,

wt%

Conversion, wt%

0.0

1.0

2.0

3.0

4.0

5.0

80.0 85.0 90.0 95.0

Dry

Ga

s, w

t%

Conversion, wt%

ACHIEVE Base catalyst

11 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

ACHIEVE – Unit Performance

Key refinery objectives of increased propylene and

isobutylene yields have been achieved

6

8

10

12

80 82 84 86 88 90 92 94

Pro

pyle

ne

, w

t%

Conversion, wt%

0.0

1.0

2.0

3.0

4.0

80 82 84 86 88 90 92 94

Iso

-Bu

tyle

ne

, w

t%

Conversion, wt%

20

24

28

32

80 82 84 86 88 90 92 94

LP

G,

wt%

Conversion, wt%

0

0.1

0.2

0.3

0.4

0.5

80 82 84 86 88 90 92 94

iC4

= / C

4=

e, w

t%

Conversion, wt%

ACHIEVE Base catalyst

12 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

ACHIEVE – Unit Performance

Compared to the Base catalyst system,

the ACHIEVE catalyst:

• provided higher iso-butylene and propylene yields as expected.

• 11.0 wt% propylene yield is achieved

ACHIEVE test run results at maximum unit throughput and max.

severity demonstrate higher refinery profitability for 2.3 M$/y

ECAT Properties: Activity, wt% 73.5 -75.0 UCS, Å 24.26 SA, m2/g 182 - 192

Operating conditions:

Unit throughput, t/h 142

ROT, o C 541

FPH temperature, o C 215

Specific Gravity 0.885

ZSM- Additive (OlefinsUltra HZ), % 7

Operation Mode Full Burn

Performance ACHIEVE vs. Base

Dry Gas, wt% 0.29

C3=, wt% 1.26

iC4= , wt% 1.05

LPG, wt% 1.68

Total Naphta, wt% -1.77

LCO, wt% 2.03

Slurry, wt% -2.10

Coke, wt% -0.13

13 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

Outlook

• The most profitable refineries are the ones that leverage their

flexibility to capture market opportunities.

• Increased profit of 2.3M $/y is calculated using refinery PIMS

model.

• Rompetrol could even further optimize performance and

improve profitability through additions of Grace’s latest

generation ZSM-5 additive, OlefinsUltra® XZ.

• Refinery plan is to increase downstream petrochemical unit

capacity for additional 15-20% to further increase LPG

production.

14 © 2018 W. R. Grace & Co. | ConfidentialIncrease FCC profitability by Operating in Propylene Maximization Mode | October 2-4, 2018

Rafael González Sánchez | Regional Technical Sales Manager

Refining Technologies - [email protected]

www.grace.com

Valentin Nilca | Senior Process Engineer Ljubica Simic | Technical Sales Manager

KMG Rompetrol Rafinare Refining Technologies - [email protected] [email protected]

www.rompetrol.com www.grace.com